Tata Group To Axe Vistara Brand Post Merger With Air India: CEO Campbell Wilson

In a major development, Air India chief Campbell Wilson said that there will be only one full-service carrier after the completion of Air India-Vistara merger. The full service carrier will be known as Air India post the merger of the Air India-Vistara, as the group works on becoming a significant international aviation player. As reported by PTI, CEO Campbell Wilson said Air India is much more recognised outside the country and as a result, full-service carrier will be known as Air India. However, Wilson emphasised that efforts will be made to retain some of the "Vistara heritage in that new manifestation".

Tata Group bought Air India from the government and since taking over the loss-making airline in January last year, the group has been working on transforming the airline. Tata announced that Vistara will be merged with Air India, which was started as a JV between Tata Group, having 51% equity and Singapore International Airlines, having 49% equity. Post the merger, Singapore Airlines will have 25.1 % equity in Air India.

On the other hand, AIX Connect, earlier known as AirAsia India, is getting integrated with Air India Express. "The intention is to have one full-service airline and one low-cost airline in the group. The full-service airline will be an amalgam of Air India and Vistara," Wilson said.

"Vistara has a very strong recognition in the Indian market but if you look outside the Indian market, clearly Air India is much more recognised and has a 90-year history... The future full-service carrier will be called Air India but we would like to retain and celebrate some of the Vistara heritage in that new manifestation," Wilson said.

Once the deal is completed, Air India will become the country's largest international carrier and second-largest domestic carrier. The deal is expected to be completed by March 2024, subject to regulatory approvals.